Pat's Bicycle Shop is a Schwinn dealer. Schwinn has agreed to let Pat be the only retailer of Schwinn bicycles in the area. What factors must be examined to determine if this agreement is illegal?
A key factor is whether or not there is interbrand competition in the area. If there are other bicycle shops that sell other brands of bicycles, this may be a legal arrangment. If there are none, this agreement is probably anticompetitive.
Business
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When the allowance method is used to account for uncollectible accounts, the__________________ is credited when an account is determined to be uncollectible.
Fill in the blank(s) with the appropriate word(s).
Business
Which of the following is NOT an external failure cost?
A. returned goods B. costs to society C. scrap D. lost goodwill
Business